Global economic growth is worse than it looks, Maersk CEO says

|By:, SA News Editor

Moeller-Maersk (OTCPK:AMKAF, OTCPK:AMKBY) CEO Nils Smedegaard Andersen - whose company handles ~15% of all consumer goods transported by sea and is a bellwether for global trade - suggests that global growth forecasts are too optimistic despite already being trimmed from more optimistic levels earlier this year.

"We believe that global growth is slowing down," the CEO tells Bloomberg. "Trade is currently significantly weaker than it normally would be under the growth forecasts we see.”

The IMF last month cut its 2015 global GDP forecast to 3.1% from 3.3% previously, citing a slowdown in emerging markets driven by weak commodity prices, and cut its 2016 forecast to 3.6% from 3.8%, but Andersen asserts that even the revised forecasts may be too high.

Maersk’s container line last week reported a 61% drop in Q3 profit as demand for ships to transport goods across the world hardly grew from a year earlier.

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